Posts Tagged deflator

Real Personal Disposable Income

Real Personal Disposable Income
Real Personal Disposable Income More often than not it is real PDI which we need to consider. For example, the basic consumption function relates real consumers' expenditure to real PDI. To calculate it we use the consumers' expenditure deflator as a measure of the relevant price level. (Why this and not, say, the GDP deflator?) Hence, Real PDI = (Nominal PDI/Cons. Exp. Deflator) x 100 Table 1-8 below ... Full article
Copyright © 2010 Sooper Tutorials. All rights reserved. Powered by WordPress.org, Website by ISolution.org.